HOUSTON, Texas -- Houston, Texas-based wholesale automotive parts distributor XL Parts has signed a letter of intent to acquire Continental Parts Co., headquartered in Dallas, Texas.

The assets and operations acquired by XL Parts will include Continental Parts distribution facilities in Houston, Dallas, and Fort Worth, Texas, along with its Oklahoma City, Okla., operation.

XL Parts, a member of the National Pronto Association, operates 36 stores in the metropolitan Houston area providing replacement parts throughout Southeast Texas for the automotive aftermarket, medium and heavy duty trucks, and new and used car dealerships. Continental Parts distributes ACDelco and Motorcraft products to automotive dealerships and technicians throughout Texas and Oklahoma.

XL Parts said this acquisition will give it a solid foundation in new markets allowing for the expansion of its current marketing strategies and continued growth.

The transaction is expected to close on Monday, Nov. 3.